VW Group Sales Fall 2%

Volkswagen Group reports its sales slid to 9.93 million vehicles in 2015 from 10.14 million in 2014, including a 5% drop to 834,800 units in December.

A 5% decline in deliveries of VW brand vehicles accounted for almost all the shrinkage. Sales by the group’s VW, MAN and Scania commercial vehicle units fell 6% to 609,900 units.

VW CEO Matthias Mueller attributes the contraction to weak regional markets and, in the fourth quarter, the company’s diesel emission cheating scandal.

Still, group sales for the overall European region rose 3% to a record 4.05 million cars and trucks in spite of declines in central/eastern Europe (-8% to 615,100) and Russia (-37% to 174,300).

Volume in 2015 grew in North America (+4% to 931,800) but declined in South America (-30% to 389,900) and China (-3% to 3.55 million).

Mueller, who offers no forecast for 2016, indicates that sales totals are not his top objective. Most important, he says, is implementing Strategy 2025, a plan to streamline and realign the company to create a “modern Volkswagen.”